100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB4943

 

Introduced , by Rep. Nick Sauer

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 5/227 new
35 ILCS 5/507III new
30 ILCS 105/5.886 new

    Amends the Illinois Income Tax Act. Creates a credit in an amount equal to the qualified adoption expenses paid or incurred by a taxpayer who, during the taxable year, legally adopts a child who was in the custody of the Department of Children and Family Services. Provides that the credit may not exceed $2,500 for each such child. Creates an income tax checkoff for the Helping Illinois Youth in Care Income Tax Checkoff Fund. Amends the State Finance Act to create the Fund. Effective immediately.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB4943LRB100 20367 HLH 35667 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Income Tax Act is amended by adding
5Sections 227 and 507III as follows:
 
6    (35 ILCS 5/227 new)
7    Sec. 227. Adoption credit.
8    (a) For taxable years beginning on or after January 1,
92018, each taxpayer who legally adopts a qualifying dependent
10child during the taxable year is entitled to a credit in an
11amount equal to the qualified adoption expenses paid or
12incurred by the taxpayer. The amount of the credit may not
13exceed $2,500 for each such child. The credit under this
14Section may be claimed for the taxable year in which the
15adoption becomes final.
16    (b) In no event shall a credit under this Section reduce
17the taxpayer's liability to less than zero. If the amount of
18the credit exceeds the tax liability for the year, the excess
19may be carried forward and applied to the tax liability of the
205 taxable years following the excess credit year. The tax
21credit shall be applied to the earliest year for which there is
22a tax liability. If there are credits for more than one year
23that are available to offset a liability, the earlier credit

 

 

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1shall be applied first.
2    (c) The Department of Children and Family Services, in
3collaboration with the Department of Revenue, shall adopt any
4rules necessary to implement the provisions of this Section.
5    (d) As used in this Section:
6    "Qualified adoption expenses" has the meaning given to that
7term in Section 23 of the Internal Revenue Code.
8    "Qualifying dependent child" means an adopted child who:
9(1) is an Illinois resident; (2) is no more than 18 years of
10age at the time of the adoption; and (3) was in the custody of
11the Department of Children and Family Services immediately
12prior to being legally adopted by the taxpayer.
13    (e) This Section is exempt from the provisions of Section
14250.
 
15    (35 ILCS 5/507III new)
16    Sec. 507III. Helping Illinois Youth in Care checkoff.
17    (a) For taxable years ending on or after December 31, 2018,
18the Department must print on its standard individual income tax
19form a provision (i) indicating that if the taxpayer wishes to
20contribute to the Helping Illinois Youth in Care Income Tax
21Checkoff Fund, as authorized by this amendatory Act of the
22100th General Assembly, he or she may do so by stating the
23amount of the contribution (not less than $1) on the return and
24(ii) stating that the contribution will reduce the taxpayer's
25refund or increase the amount of payment to accompany the

 

 

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1return. Failure to remit any amount of increased payment shall
2reduce the contribution accordingly. This Section does not
3apply to any amended return.
4    (b) The Helping Illinois Youth in Care Income Tax Checkoff
5Fund is created as a special fund in the State treasury. Moneys
6in the Fund shall be used by the Department of Children and
7Family Services for the purpose of making grants and providing
8financial support to foster care programs in the State that are
9administered by the Department of Children and Family Services.
10The Department of Children and Family Services may allocate a
11portion of the moneys in the Fund to the Children's Benefit
12Fund, a charitable trust administered by the Department of
13Children and Family Services.
 
14    Section 10. The State Finance Act is amended by adding
15Section 5.886 as follows:
 
16    (30 ILCS 105/5.886 new)
17    Sec. 5.886. The Helping Illinois Youth in Care Income Tax
18Checkoff Fund.
 
19    Section 99. Effective date. This Act takes effect upon
20becoming law.